Running a business out of your house can be a great way to earn a living without paying extra expenses related to renting an office or building. If you recently started a business out of your house, you may want to do a little research to see if you need to add insurance coverage to your home insurance policy. Here are a few things to consider that will help you determine if you need extra coverage.
Does your business have assets or inventory?
If you currently have home insurance on your house, there is a good chance it may provide some coverage for your home business; however, it probably will not cover your business's assets and inventory. If the only thing you have is a computer, you may not need to add coverage. If you have a lot of other assets and have inventory stored in your home, you should contact an insurance company to find out what type of coverage to get for these things.
Will clients or customers visit your home office?
The second thing to consider is the effects of having clients and customers to your home office for business purposes. A normal home insurance policy will offer liability coverage, which is designed to protect against injuries that occur to people that visit you. Your regular home insurance policy might not offer enough liability coverage though. If you have customers coming to your home, you will want to make sure you have enough coverage if one of them falls or gets injured while visiting your home office.
Will you have access to sensitive information?
There is one other important thing to consider in this decision, and this involves sensitive, confidential information. If you will have access to this type of information, you may want to get insurance protection for it. This type of protection is extremely vital today, especially with the way business is handled online.
If a hacker gets into your system and accesses sensitive information, people could sue you. There is insurance for this, though, and you will want to make sure you get this type of coverage if you have access to personal information. This is often called data breach insurance coverage, and you should be able to add this coverage to your existing home insurance policy.
If you are not sure whether you need extra coverage for your new home business, contact a company like Willie Swims Ins Agency, Inc. that sells home insurance. An agent can help you determine whether or not you need this and the types of coverage you should have.